MPs' pay and pensions home
Parliament has now put an end to the situation whereby MPs decide their
own pay and pension arrangements – giving IPSA the powers to decide. For the
first time, an independent body has settled these issues.
In December 2013, following two public consultations, we proposed a modern,
professional package for MPs’ remuneration.
There were six main
elements to our proposal:
- to make a one-off adjustment to MPs' pay from £67,060 to £74,000 a year, to reflect that it had fallen behind;
- thereafter, to link changes in MPs' pay to their constituents' pay across the country;
- to reduce MPs' generous pension benefits;
- to scrap resettlement payments for MPs which had been worth up to a year's salary;
- to tighten MPs' expenses further; and
- to call on MPs to produce an annual account to help constituents to understand their work
As a whole, this package of reform would not cost the
taxpayer a penny more. It would bring MPs’ pensions into line with others in
the public sector, it would get rid of generous and out-of-date benefits and,
after a one-off pay adjustment, it would permanently link MPs’ pay to the pay
of the people they represent.
We have now implemented all elements of the package.
Following a final consultation in the new Parliament, as required by statute,
we announced on 16 July 2015 our final decision on MPs’ pay in the 2015
Parliament. All MPs will now be paid an annual salary of £74,000, backdated to
8 May 2015. Annual changes in MPs’ pay during this Parliament will be linked to
changes in average earnings in the public sector, rather than to those in the
economy as a whole as previously proposed. We will review MPs’ pay again in the
first year of the next Parliament, as required by statute.
MPs' Pay in the 2015 Parliament - Final Report
MPs' Pay in the 2015 Parliament - Final Report.pdf
initial consultation in October 2012
A summary paper we published in 2012
when we began our work
The second consultation in July 2013
Public opinion research -IPSA's recommendation on reporting by MPs - IPSA's recommended remuneration package for MPs
Pay Consultation June 2015
MPs' Pay Consultation 2015.pdf
The MPs’ Pension Scheme
The post-2015 MPs’ Pension Scheme laid before
the House of Commons in December 2014
Previous amendments to the MPs’
Consultation on increasing contribution rates
Pensions - Consultation Document.pdf
Amendments to the MPs Pension Scheme.pdf- in relation to the Great Officers of State, laid before the House of Commons in
Amendment to the MPs Pension Scheme.pdf in relation to benefits paid to
survivors of same sex married couples laid before the House of Commons in
Amendments to the MPs' Pension Scheme in relation to benefits.pdf paid to
survivors of same sex married couples where one member of the couple has
changed gender laid before the House of Commons in December 2014.